Following a downward trend in the Light Commercial Vehicle (LCV) market, it was encouraging to see that registrations were up 14.1% in October according to the latest SMMT’s light commercial vehicle registration figures.
Over 3,500 more vehicles were put on the road this month compared to the same period last year. Demand has fluctuated in 2018 with fleets holding back assessing the economy. There was also some market distortion due to delays with supplies on some new model vans.
The strongest sector was the larger 2.5 – 3.5 tonne van sector which is the single largest van market representing 70% of all light commercials sold. These grew by a significant 27.6% in the month. Small vans below up to 2 tonnes continued to decline and were down -24.9% and mid-size 2.0 - 2.5 tonne vans were down -14.8%. Many van users seem to be opting for the heavier weight light commercials to allow for changing uses in their business profile.
Overall the light commercial market has been more resilient over other vehicle sales so far and year-to-date registrations are only down -1.6%. Most LCV dealers are seeing strong demand for product even though the year has been overshadowed with economic uncertainty.